11-20-2009 01:23 PM
We heard about theses NACA First-Time Home Buyer programs and are very interested and curious.
We were just wodering how fast does the NACA Home Buying program works after attending their workshop ?
Also what banks do they work with, their underwriting requirements, income to debt ratio and what loan do they
work with, FHA, Fannie Mea, etc, etc ?
How much do they want to see up front in terms of savings before
they proceed with you ?
Last but not the last question:
Can you apply the Federal First-Time Home Buyer Credit of $8k when buying through NACA ?
11-20-2009 01:58 PM
You should visit:
11-20-2009 02:14 PM
If you want all your questions answered and then some read the official NACA mortgage thread but to answer your questions:
1. How fast it works really depends on you. It could take anywhere from 3 weeks to 3 years depending on your situation.
2. They work with Citi bank and Bank of America depending on what part of the country you live in.Debt to income is 41% but in my case they got an exception to 43% which I'm told is very unusual. They don't work with FHA or the others, totally separate.
3. In regards to savings they have what is called payment shock which is the difference between what payment you qualify for and what your current rent is.You also must have funds in the bank for fees such as home inspection, home insurance ect but you pay no closing cost. The biggie is that any funds you get the seller to contribute or you decide to put down yourself can be used to permanately buy down your interest rate. In my case I used the funds from my seller to buy my rate down to 2% which allowed me to buy more home than I qualified for because it lowered my payment.
4. And yes you can apply for the 1st time home tax credit but only after you close and you must have a contract on a home by April 30, 2010.
PS. Visit the NACA website at www.naca.com I think you'll find that all your questions will be answered there as well.
11-20-2009 10:15 PM
Thanks for the speedy reply but to be specific how long does it take to get approved once you have everything together ?
I mean if you have everything together it shouldnt take more than 2 months to begin looking at houses, right ?
I read online somewhere that people have been trying to get approve for more than 2, 3, 6 or even 12 months. Is this true ?
I mean we would like to get the Fed Tax Credit of $8k and you have to be in escrow by April 30, 2010 to be eligible.
I also hear that most of the time its nearly impossible to speak to anyone from NACA as they dont hardly return phone
calls, emails, etc, etc, are these true ?
11-24-2009 09:30 AM
Hey Happy Camper,
The Official NACA Mortgage Thread will have all your answers (and answers to questions you haven't thought of yet). But to answer you here:
1. I was approved immediately. I had been saving money monthly already and have never been late on any payments for anything -- I have pretty good credit. I have cousins who filed bankruptsy, and they have to wait for 2 years. It just depends on if you have your ducks in a row.
2. Yes, the NACA office is a mad-house. They have too much work and not enough people. I hardly ever get responses and sometimes have to wait for weeks for an answer (after leaving multiple voicemails and emails). However, I am about 1 week from closing -- my interest rate will be 3.75% and I will pay NO downpayment and NO closing costs. For me, it will all be worth it. A couple of months of stress = tens of thousands in savings.
I would suggest going to the 4 hour mandatory meeting, and then setting up an appointment with your counselor. They will be able to tell you if you can be approved right away or not. Be sure that you're saving a little money every month NOW so that you are better prepared when the time comes.
05-03-2010 08:24 AM
Hi I'm Truth
I to am a NACA recipient but not a good experience. I was told via my counselors that yes a NACA homebuyer would receive the governement 8K tax credit refund and even told I would qualify myself and receive it by being contracted no later than April 30th. Well that was back in September of 09 and the CHicago office have changed me through 4 counselors, quitting, being fired, lazy and greedy. I was told via management that my file was placed on back burner because counselors got paid more money to do homesaves.
I beleive NACA has the potential to be not just a good opportunity for those that otherwise would be unable to purchase, but a pleasant one while in the process. I to have been victim of no responses to emails, phone calls and just all out lies at times, and currently still waiting some answers. My file has not even gone to underwriters and it's been over 6 months.
So yes I'm greatful for the program, but hate how they have disrepected me as a person that desire the dream of owning a home in their process. There is absolutely no reason why a state as large as Illinois or City as large as Chicago should have one office to cover it and surrounding suburbs.
Forums posts are not provided or commissioned by FICO. Forums posts have not been reviewed, approved or otherwise endorsed by FICO. It is not FICO's responsibility to ensure all posts and/or questions are answered.† Advertiser Disclosure: The listings that appear on myFICO are from companies from which myFICO receives compensation, which may impact how and where products appear on myFICO (including, for example, the order in which they appear). myFICO does not review or include all companies or all available products.
* For complete information, see the terms and conditions on the credit card issuer’s website. Once you click apply for this card, you will be directed to the issuer’s website where you may review the terms and conditions of the card before applying. While myFICO always strives to present the most accurate information, we show a summary to help you choose a product, not the full legal terms - and before applying you should understand the full terms of products as stated by the issuer itself.
IMPORTANT INFORMATION: All FICO® Score products made available on myFICO.com include a FICO® Score 8, along with additional FICO® Score versions. Your lender or insurer may use a different FICO® Score than the versions you receive from myFICO, or another type of credit score altogether. Learn more
FICO, myFICO, Score Watch, The score lenders use, and The Score That Matters are trademarks or registered trademarks of Fair Isaac Corporation. Equifax Credit Report is a trademark of Equifax, Inc. and its affiliated companies. Many factors affect your FICO Score and the interest rates you may receive. Fair Isaac is not a credit repair organization as defined under federal or state law, including the Credit Repair Organizations Act. Fair Isaac does not provide "credit repair" services or advice or assistance regarding "rebuilding" or "improving" your credit record, credit history or credit rating. FTC's website on credit.